were living in scotland and not really sure of where to start?


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speak to a mortgage broker, most of them are free

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Right can I just ask you a question?

Do you think this is the right time to buy???
Do you think that house prices are going to start rising in the next 6 months???

WHY ARE YOU BUYING A HOUSE WHEN THE MARKET HAS NOT BOTTOMED OUT - IT HAS FURTHER TO FALL.

IT IS A STUPID THING TO DO BECAUSE YOUR HOUSE WILL BE WORTH LESS THAN YOUR MORTGAGE!!!!!

Find a nice place to rent until the market shows signs of a recovery and then buy!!!!

I'm not being harsh, i'm just giving you some sensible advice.


Edit:

it IS a stupid thing to so when there is currently talk of a DEPRESSION!!!!! You are looking at the possibility of a buying a house now, and the value won't recover for several years.
We're no in a slowdown here!!, we're heading for depression!!!!! duh!!
The clever thing to do would be to rent!!!!!!

1. It's cheaper and eases your cashflow a hell of a lot more.
2. You don't have the impending worry that should something happen (like you LOSE your jobs, like so many people are) that you will be saddled for years to come with a debt AFTER the house has been sold that you'll be paying back for years.

Example:

You buy house £190,000

a years time it's worth £140,000

You lose your job and you have to sell the house quickly for what you can get, lets say £135,000

You are now homeless and OWE £55,000 !!!!!
So next time you get a job, you will be paying this debt back for YEARS!!!

ONLY BUY A HOUSE WHEN PRICES ARE RISING.

People are stupidly obsessed with BUYING, when there really isn't the point.
As a young couple you should be spending cash on enjoying yourselves, not all of it on a mortgage where the house is going to fall in price.


OK fine - buy a house now and find in a few months it's worth a lot less than what you've borrowed to pay for it.

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The previous posters answer is a bit blunt, and naively simplistic, but has touched on a potential issue, and that is to do with the timing of your purchase. House prices may fall further yet, but provided you can afford the mortgage now and in the future - taking into account house price falls, possible redundancy etc - there is no good reason why not to buy a property right now. After all, interest rates are low and property prices are still lower than they were 12 months ago. It's not a "stupid thing to do", but you do need to be aware of the issues and the risks. With the size of deposits required nowadays, the market will have to drop by a signifcant amount in order for you to be in negative equity - not really a valid argument - but the value of property can go down as well as up.

Secondly, mortgage companies are no longer offering such good deals for first time buyers as they did a year or so ago. Gone are the days when lenders would offer first time buyers 100% mortgages or cash-back for taking out as mortgage. You will need a deposit of about 15%-25% of the purchase price in order to get access to the best mortgage deals. Some lenders will lend at a higher level - up to 90% in a very few cases - but the rates aren't particularly attractive.

I would suggest that the first place to start is to consider your position at the moment;

- are you both in regular work?
- What is your gross income?
- what is your credit history like? Good, bad or indifferent?
- do you have any credit card or loan debts?
- how much do you have in savings?

You should budget for solicitor's fees, stamp duty and mortgage application fees, as well as moving costs. Also do a budget planner to understand how much you currently pay on your bills and what they would be if you bought a property i.e. how much more would the council tax, gas, electric be etc.

This isn't accurate, but as a guideline, lenders will consider lending about 3 x your joint gross income. This, plus your own savings will give you an idea of how much you could borrow and what value of property you could be looking at. This should tell you if it's realistic to buy at the moment.

Depending on your jobs, you might be entitled to a grant or shared ownership/key worker assistance.

Have a look, as an example, at the Lloyds TSB website. Follow the
links on the left of the page to the calculators "How much can I borrow?".

I would suggest speaking to a good Independent or Whole of Market Mortgage Broker who can talk you through the whole process, what you might be entitled to and who can elaborate on what I have stated.
The process seems more daunting than it really is. A good mortgage broker and solicitor will guide you through the process.

Good lluck.

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I think Steven B has some good ideas there so take note from him, however, I would like to add to it from my presonal experience. I was crazy enough to embark on this subject now and as a result I'm looking forward to moving into my house very soon. If you can find a reposession that is cheap and you have a very good deposit to put down then you will not really end up in negative equity at all. That would happen if you bought an expensive house with a huge mortgage. If this is the case then I strongly advise you against it. So, find a good reposession (but be careful because some of them can be really really run down and horrid) try to negotiate further reductions (you'll be able to do that because not many people are buying so just take advantage of it). Depending on your savings, arrange for a mortgage. Go into any estate agents or building societies and ask to speak to a mortgage advisor who will do anything he/she can in his/her power to arrange that mortgage for you. Then sit back and enjoy all the hassle that will come with the purchase.
By the way, I think this is a great time to buy a house. Yes, prices will still go down but they won't go down so much as people will refuse to sell their houses, which would just lead to stagnation. In a few years time prices will then be up on the rise again. Good luck!

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I found asking friends and family about how to start, they did it once.

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[Jack_B]

Firstly, ignore everyone who says anything along the lines of:

- are you stupid? The market hasn't bottomed out yet, prices will fall more etc etc

Everyone has an opinion on what house prices are going to do, but most people don't really know anything other than what they have read that some expert has said, and some of these so called experts also tend to differ in opinion.

The important thing to consider is why you are buying a property.

If it is purely as an investment, then it is possibly not the best decision, as you may get better returns from on your money elsewhere.

However, if you are buying a home, for you and your family to live in for the medium to long term, then now is not a particularly bad time to buy. FIrstly, house prices are considerably cheaper than they were, and over the long term, property prices will probably rise, even if they do fall further first, in 10 years time, aside from any economic shocks like we have just seen, you will probably find your equity has grown. But buying a house to be a home has much more to it than just making money. You have added security that your landlord can't ask you to leave, you can paint the walls, put up pictures, knock down walls, build conservatories and generally do whqtever it is that you want with it, without having to worry about what the owner says. It is a nice feeling top own your own home, and comes with value thatt isn't quite tangible.

The best suggestion I have for you is to seek independent mortgage advice and discuss all of your concerns with your adviser who will be able to discuss the pros & cons of any decision.